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A stock has a required return of 10%, the risk-free rate is 3.5%, and the market risk premium is 3%. What is the stock's beta?

A stock has a required return of 10%, the risk-free rate is 3.5%, and the market risk premium is 3%.

  1. What is the stock's beta? Round your answer to two decimal places.
  2. What is the stock's required rate of return?

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